Intuit (INTU, Financial) kicked off fiscal 2025 with a bang—Q1 revenue jumped 10% to $3.28 billion, leaving Wall Street expectations in the dust. Credit Karma crushed it with a 29% revenue surge, and the Online Ecosystem soared 20%, riding the wave of QuickBooks Online and Mailchimp momentum. CEO Sasan Goodarzi didn't hold back, calling the company's AI-driven platform strategy a game-changer for customers and businesses alike. And they're not just talking a good game: Intuit is doubling down on its full-year forecast, sticking to its guns with expected revenue growth of 12–13%.
But here's the catch—Q2 guidance didn't hit the sweet spot for analysts. Intuit's revenue projection of $3.81–$3.85 billion and earnings per share of $2.55–$2.61 came in underwhelming. Investors weren't thrilled, and the stock dropped more than 4.5% this morning. Add in Mailchimp's struggle to retain smaller customers and the looming specter of free government tax-filing apps, and you've got a recipe for some nervous portfolio managers. Goodarzi waved off concerns about IRS initiatives, but analysts aren't so sure, warning that regulatory risks and macro pressures could slow the party.
Even so, Intuit isn't a stock to write off. With $3.4 billion in cash, a steady hand on share buybacks, and relentless innovation driving growth, it's still a darling among analysts—75% are shouting "Buy." But let's be real: investors want action, not just optimism. Whether Intuit can steer through regulatory headwinds and Mailchimp hiccups will be the test that determines if this tech powerhouse stays on its current high-growth trajectory.
